Former American Airlines Exec Vasu Raja on Where the Industry Is Going — and Why He’s Still Bullish on Direct Selling

Former American Airlines chief commercial officer Vasu Raja said he believes the future of the airline industry lies in loyalty programs and long-haul premium travel. 

In an exclusive wide-ranging interview with Skift — his first since he left American this summer — Raja said that major airlines are no longer creating the most value for customers through their fleets or routes. 

“Now it's a time where this software, the constellation of things around frequent flyer, is really how people can go create value for customers and generate value as well,” Raja said. 

Much of the emphasis on loyalty programs has also been reflected in airlines’ latest earnings reports. For example, Delta Air Lines’ loyalty revenues were up 8% and it received $1.9 billion from American Express, a 9% increase from last year. American CEO Robe